Fresh & Easy
Encyclopedia
Fresh & Easy Neighborhood Market is a chain of grocery store
s in the western United States, headquartered in El Segundo, California
. It is a subsidiary of Tesco
, the world's third largest retailer. It has plans for rapid growth - the first stores opened in November 2007 and, after a pause in the second quarter of 2008, the opening program recommenced; there are now 182 stores in Arizona
, California
, and Nevada
as of October 5, 2011.
by opening a chain of small format grocery stores on the West Coast (Arizona, California and Nevada) in 2007 named Fresh & Easy. The initial planned capital expenditure is up to £250 ($436m USD) million per year. After Tesco CEO Terry Leahy
announced serious resources had been committed to developing a format that would be popular with American consumers, investors responded with some skepticism with a small drop in the company's share price.
There is a distribution centre in Riverside, California
and the company initially expanded into California, Phoenix, Arizona
, and Las Vegas, Nevada
. The 500 planned San Francisco Bay Area stores will be served by a new distribution centre in Stockton
.
Tesco purchased a 130000 square metres (155,478.7 sq yd) distribution centre in Riverside County
, and planned to acquire another in Phoenix
. The markets were expected to be around 1400 square metres (1,674.4 sq yd)--good sized supermarkets in many countries, but about one-third the size of an average supermarket within the US.
By January 2007, Tesco opened its U.S. headquarters in El Segundo, California
. Tesco also began construction on the Riverside County distribution centre in Moreno Valley
near the former March Air Reserve Base
. This distribution centre has California's largest solar panel roofing system.
The company was looking for another distribution centre location in Stockton, strategic for entering the Northern California
region.
On 21 April 2009 Tesco reported a trading loss of £142m from Fresh & Easy.
On 4 October 2010 Fresh & Easy announced that it was temporarily closing 13 stores because of shrinking populations, high percentage of housing foreclosures and high unemployment rates. The stores were being mothballed, with hope of reopening them when the economy improves. Six of the stores were in the Las Vegas area, six in the Phoenix area and one in Moreno Valley. Most of the closures were "C-level stores," or those doing less than $50,000 USD in weekly sales.
The business is not expected to break even until 2012-13.
, as a "soft opening". (Soft openings are traditionally done in the retail business to test systems and store staff, and prepare for a larger "grand opening.") The Hemet store, near the company's distribution center, along with five others in Los Angeles and Orange Counties, then had their "grand opening" on November 8, 2007.
Fresh & Easy Neighborhood Market currently employs 20 to 30 associates per store.
In California, part-time employees are paid a starting hourly wage of $10 USD per hour. The starting hourly wage is $10 an hour in Nevada and Arizona. Those store employees who work at least 20 hours per week get a health insurance plan, which they also contribute to. Assistant managers, called Team Leaders, currently are paid $13 hour (California). In Arizona, each of these positions pay US$1 per hour less.
From April until the end of June, 2008, Fresh & Easy took a pause from opening any new stores. That hiatus was lifted with the July 2, 2008 opening of a store in Manhattan Beach, California. As of October 5, 2011, there are 182 stores in Arizona, California, and Nevada.
stores. The first Mesa, Arizona
, store opened December 5, 2007. There are currently (as of August 2011) 28 locations in operation in the greater Phoenix area.
The first five Nevada stores opened in the Las Vegas
area November 11, 2007. There are now (August 2011) 21 stores in operation in and around Las Vegas. Many stores were opened in the locations of former Rite-Aid Pharmacies.
In March, 2011, Mason took on new roles as deputy chief executive and chief marketing officer within Tesco, and now spends about a third of his time outside of the US.
Fresh & Easy's headquarters is in El Segundo
, near Los Angeles International Airport
.
certified buildings. It will recycle or reuse shipping and display products. Its food transportation trailers are hybrid electric-diesel. The Riverside distribution center hosts California's largest solar roof installation. Stores are equipped with LED
lights in freezers, coolers and for outdoor signage. Some stores have reserved parking for hybrid cars.
On September 8, 2010, Fresh & Easy opened its first store to be GreenChill certified (Rosemead store). Fewer than 40 of all grocery stores in the USA are GreenChill certified.
Grocery store
A grocery store is a store that retails food. A grocer, the owner of a grocery store, stocks different kinds of foods from assorted places and cultures, and sells these "groceries" to customers. Large grocery stores that stock products other than food, such as clothing or household items, are...
s in the western United States, headquartered in El Segundo, California
El Segundo, California
El Segundo is a city in Los Angeles County, California, United States. Located on the Santa Monica Bay, it was incorporated on January 18, 1917, and is one of the Beach Cities of Los Angeles County and part of the South Bay Cities Council of Governments...
. It is a subsidiary of Tesco
Tesco
Tesco plc is a global grocery and general merchandise retailer headquartered in Cheshunt, United Kingdom. It is the third-largest retailer in the world measured by revenues and the second-largest measured by profits...
, the world's third largest retailer. It has plans for rapid growth - the first stores opened in November 2007 and, after a pause in the second quarter of 2008, the opening program recommenced; there are now 182 stores in Arizona
Arizona
Arizona ; is a state located in the southwestern region of the United States. It is also part of the western United States and the mountain west. The capital and largest city is Phoenix...
, California
California
California is a state located on the West Coast of the United States. It is by far the most populous U.S. state, and the third-largest by land area...
, and Nevada
Nevada
Nevada is a state in the western, mountain west, and southwestern regions of the United States. With an area of and a population of about 2.7 million, it is the 7th-largest and 35th-most populous state. Over two-thirds of Nevada's people live in the Las Vegas metropolitan area, which contains its...
as of October 5, 2011.
United States expansion
On February 9, 2006, Tesco announced that it planned to move into the United StatesUnited States
The United States of America is a federal constitutional republic comprising fifty states and a federal district...
by opening a chain of small format grocery stores on the West Coast (Arizona, California and Nevada) in 2007 named Fresh & Easy. The initial planned capital expenditure is up to £250 ($436m USD) million per year. After Tesco CEO Terry Leahy
Terry Leahy
Sir Terry Leahy is a former CEO of Tesco, the largest British supermarket chain.He lives in Cuffley, Hertfordshire, with his wife, Alison and his three children.- Early life :...
announced serious resources had been committed to developing a format that would be popular with American consumers, investors responded with some skepticism with a small drop in the company's share price.
There is a distribution centre in Riverside, California
Riverside, California
Riverside is a city in Riverside County, California, United States, and the county seat of the eponymous county. Named for its location beside the Santa Ana River, it is the largest city in the Riverside-San Bernardino-Ontario metropolitan area of Southern California, 4th largest inland California...
and the company initially expanded into California, Phoenix, Arizona
Phoenix, Arizona
Phoenix is the capital, and largest city, of the U.S. state of Arizona, as well as the sixth most populated city in the United States. Phoenix is home to 1,445,632 people according to the official 2010 U.S. Census Bureau data...
, and Las Vegas, Nevada
Las Vegas, Nevada
Las Vegas is the most populous city in the U.S. state of Nevada and is also the county seat of Clark County, Nevada. Las Vegas is an internationally renowned major resort city for gambling, shopping, and fine dining. The city bills itself as The Entertainment Capital of the World, and is famous...
. The 500 planned San Francisco Bay Area stores will be served by a new distribution centre in Stockton
Stockton, California
Stockton, California, the seat of San Joaquin County, is the fourth-largest city in the Central Valley of the U.S. state of California. With a population of 291,707 at the 2010 census, Stockton ranks as this state's 13th largest city...
.
Tesco purchased a 130000 square metres (155,478.7 sq yd) distribution centre in Riverside County
Riverside County, California
Riverside County is a county in the U.S. state of California. One of 58 California counties, it covers in the southern part of the state, and stretches from Orange County to the Colorado River, which forms the state border with Arizona. The county derives its name from the city of Riverside,...
, and planned to acquire another in Phoenix
Phoenix, Arizona
Phoenix is the capital, and largest city, of the U.S. state of Arizona, as well as the sixth most populated city in the United States. Phoenix is home to 1,445,632 people according to the official 2010 U.S. Census Bureau data...
. The markets were expected to be around 1400 square metres (1,674.4 sq yd)--good sized supermarkets in many countries, but about one-third the size of an average supermarket within the US.
By January 2007, Tesco opened its U.S. headquarters in El Segundo, California
El Segundo, California
El Segundo is a city in Los Angeles County, California, United States. Located on the Santa Monica Bay, it was incorporated on January 18, 1917, and is one of the Beach Cities of Los Angeles County and part of the South Bay Cities Council of Governments...
. Tesco also began construction on the Riverside County distribution centre in Moreno Valley
Moreno Valley, California
Moreno Valley is a city located in Riverside County, California.A relatively young city, its rapid growth in the 1980s and the first decade of the 21st century made it second-largest city in Riverside County by population, and one of the Inland Empire's population centers. As of the 2010 census,...
near the former March Air Reserve Base
March Air Reserve Base
March Joint Air Reserve Base is located in Riverside County, California between the cities of Riverside and Moreno Valley. It is the home to the Air Force Reserve Command's 4th Air Force Headquarters and the 452d Air Mobility Wing , the largest air mobility wing of the 4th Air Force...
. This distribution centre has California's largest solar panel roofing system.
The company was looking for another distribution centre location in Stockton, strategic for entering the Northern California
Northern California
Northern California is the northern portion of the U.S. state of California. The San Francisco Bay Area , and Sacramento as well as its metropolitan area are the main population centers...
region.
On 21 April 2009 Tesco reported a trading loss of £142m from Fresh & Easy.
On 4 October 2010 Fresh & Easy announced that it was temporarily closing 13 stores because of shrinking populations, high percentage of housing foreclosures and high unemployment rates. The stores were being mothballed, with hope of reopening them when the economy improves. Six of the stores were in the Las Vegas area, six in the Phoenix area and one in Moreno Valley. Most of the closures were "C-level stores," or those doing less than $50,000 USD in weekly sales.
The business is not expected to break even until 2012-13.
Store policies and progress
Fresh & Easy had announced in October 2007 that the first California and Arizona stores would open November 8. However on November 1, 2007, Fresh & Easy opened its first store, in Hemet, CaliforniaHemet, California
Hemet is a city in the San Jacinto Valley in Riverside County, California, United States. It covers a total area of , about half of the valley, which it shares with the neighboring city of San Jacinto. The population was 78,657 at the 2010 census....
, as a "soft opening". (Soft openings are traditionally done in the retail business to test systems and store staff, and prepare for a larger "grand opening.") The Hemet store, near the company's distribution center, along with five others in Los Angeles and Orange Counties, then had their "grand opening" on November 8, 2007.
Fresh & Easy Neighborhood Market currently employs 20 to 30 associates per store.
In California, part-time employees are paid a starting hourly wage of $10 USD per hour. The starting hourly wage is $10 an hour in Nevada and Arizona. Those store employees who work at least 20 hours per week get a health insurance plan, which they also contribute to. Assistant managers, called Team Leaders, currently are paid $13 hour (California). In Arizona, each of these positions pay US$1 per hour less.
From April until the end of June, 2008, Fresh & Easy took a pause from opening any new stores. That hiatus was lifted with the July 2, 2008 opening of a store in Manhattan Beach, California. As of October 5, 2011, there are 182 stores in Arizona, California, and Nevada.
California
On September 8, 2010 Fresh & Easy opened 4 new stores in California, marking the 100th store for the state. By August 2011, with the first Northern California stores open, there were 128 stores operating in California.Arizona
July 2007, Tesco announced plan for several ArizonaArizona
Arizona ; is a state located in the southwestern region of the United States. It is also part of the western United States and the mountain west. The capital and largest city is Phoenix...
stores. The first Mesa, Arizona
Mesa, Arizona
According to the 2010 Census, the racial composition of Mesa was as follows:* White: 77.1% * Hispanic or Latino : 26.54%* Black or African American: 3.5%* Two or more races: 3.4%* Native American: 2.4%...
, store opened December 5, 2007. There are currently (as of August 2011) 28 locations in operation in the greater Phoenix area.
Nevada
Las Vegas metropolitan area
The Las Vegas Valley is the heart of the Las Vegas-Paradise, NV MSA also known as the Las Vegas–Paradise–Henderson MSA which includes all of Clark County, Nevada, and is a metropolitan area in the southern part of the U.S. state of Nevada. The Valley is defined by the Las Vegas Valley landform, a ...
area November 11, 2007. There are now (August 2011) 21 stores in operation in and around Las Vegas. Many stores were opened in the locations of former Rite-Aid Pharmacies.
Management
Tim J.R. Mason is the President and Chief Executive Officer of Fresh & Easy. He joined Tesco in 1982 and became a member of the Board in 1995. Mason relocated to the U.S. with his family as part of the assignment of building the U.S. presence. He led the team researching the U.S. market prior to the company opening its first American store.In March, 2011, Mason took on new roles as deputy chief executive and chief marketing officer within Tesco, and now spends about a third of his time outside of the US.
Fresh & Easy's headquarters is in El Segundo
El Segundo, California
El Segundo is a city in Los Angeles County, California, United States. Located on the Santa Monica Bay, it was incorporated on January 18, 1917, and is one of the Beach Cities of Los Angeles County and part of the South Bay Cities Council of Governments...
, near Los Angeles International Airport
Los Angeles International Airport
Los Angeles International Airport is the primary airport serving the Greater Los Angeles Area, the second-most populated metropolitan area in the United States. It is most often referred to by its IATA airport code LAX, with the letters pronounced individually...
.
Environmental goals
Fresh & Easy states it has made a commitment to building Leadership in Energy and Environmental DesignLeadership in Energy and Environmental Design
Leadership in Energy and Environmental Design consists of a suite of rating systems for the design, construction and operation of high performance green buildings, homes and neighborhoods....
certified buildings. It will recycle or reuse shipping and display products. Its food transportation trailers are hybrid electric-diesel. The Riverside distribution center hosts California's largest solar roof installation. Stores are equipped with LED
LEd
LEd is a TeX/LaTeX editing software working under Microsoft Windows. It is a freeware product....
lights in freezers, coolers and for outdoor signage. Some stores have reserved parking for hybrid cars.
On September 8, 2010, Fresh & Easy opened its first store to be GreenChill certified (Rosemead store). Fewer than 40 of all grocery stores in the USA are GreenChill certified.